Employee handbooks are not legally binding unless they explicitly state that they are. However, certain statements in the handbook can be interpreted as contractual promises if they are specific enough and imply mutual obligations between employer and employee.
While the law in California does not require businesses to create or distribute employee handbooks, the law does require every business to memorialize certain workplace policies in writing.
How to write an employee handbook Include your company's mission statement. Write a brief section on company history. State any legal declarations. Explain your dress code. Include details about work hours. Define duties. Include department-specific policies. Describe company benefits.
If you don't have an employee handbook, opposing counsel will likely use the absence of a handbook to prove the absence of any consistent policies or procedures upon which employees are treated.
While the law in California does not require businesses to create or distribute employee handbooks, the law does require every business to memorialize certain workplace policies in writing.
What Goes Into an Employee Handbook? Company Values and Mission Statement. General Employment Information. Anti-Discrimination and Anti-Harassment Laws. Standards of Conduct. Employee Benefits. Confidentiality / Non-Disclosure Agreement / Conflict of Interest. Disciplinary Policies. Disclaimer.
While an employee handbook is not legally required of employers, the lack of one can create confusion, as you note, and lead to decreased morale and potential for legal claims. With no handbook guiding them, managers are without rules to rely on.
Small businesses can also benefit from providing their employees with an employee handbook. While they're not mandatory, a well-crafted HR handbook is a single source of information that clearly conveys company culture, practices and policies to employees.
Legal compliance There is no law requiring you to have an employee handbook. However, many federal and state laws require employers to inform employees of their rights in the workplace. Your staff handbook is one of the best ways to deliver this information to your employees.
While there is no specific law on the federal level that requires employers to create an employee handbook, certain labor regulations may apply if you choose to create one.